CSPA_AnnualReport_2011

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Transcript of CSPA_AnnualReport_2011

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Annual Report 2011 | www.cspa.org

Message to Membership

As we approach the end of 2011, we can reflect on another incredible year for our industry amid extraordinary circumstances here and abroad. While we all faced economic uncertainty, our work to help protect company bottom lines from overly burdensome legislation and regulation impeding our members’ competitive position in the marketplace was more important than ever. At the same time, we expended even more effort on that aspect of the Association which makes us unique—our history of building relationships and collaborating with government and non-government stakeholders to find the right solutions to challenging public policy issues that ultimately help protect the environment and public health. It is with this approach that we have defined who we are—a pro-active and effective organization—that has had another successful year that we could not have achieved by simply standing on the sidelines. As the cover of this report illustrates, who we are is also defined through the di-versity of the CSPA membership. Whether a formulator, manufacturer, marketer or a supplier of goods and services to those companies, our members all share one thing in common—they are innovators. By the very nature of being innova-tive companies, our members are forward looking, creative business people with a focus on the sort of quality the industry has delivered to the marketplace for generations.

Together, who we are is a progressive industry of innovators who find thoughtful solutions to today’s challenges. Through our affiliates, we also proactively reach the broader consumer marketplace with education about our products and family wellbeing through strategic and modern communications, and partnerships that strengthens our voice.

Recorded within the pages that follow is a detailed report of all we have accom-plished together throughout the past year, beginning with a highlights section that touches on every area of this Association.

As we move optimistically into the New Year and begin to evaluate what it will mean to our industry, one thing is certain—we will continue to be a proactive and an effective organization that achieves results for its members.

Christopher CathcartCSPA - President and CEO

John P. AbplanalpCSPA Chairman of the BoardPrecision - President and CEO

John P. Abplanalp, CSPA Chairman of the Board, Precision - President and CEO

Christopher Cathcart, CSPA - President and CEO

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Consumer Specialty Products Association

A Message to MembershipFrom the CSPA President & Outgoing Chair

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Highlights & Results

WHAT ARE MEMBERS SAYING?“CSPA membership is invaluable to our company. As a relatively small mid-cap company, we don’t have the resources to advocate for our brands and products on the various federal and state levels and across the multitude of issues facing our industry. Our involvement in the Association allows us to pool our resources with other member companies for a much stronger impact and with a ‘priceless’ return on investment. CSPA has a world class staff of experts, which is the fabric that keeps the Association highly productive and effective; they make it extremely easy for all member companies to participate. Bottom line is that CSPA membership is a great experience and an even better value!”

Paul Siracusa, Ph.D. | Church & Dwight, Inc.Executive Vice President, Global Research and Development

• Along with allied trade organizations, amended the voluntary ingredient communication program.

• Industry’s voluntary ingredient communication el-ements, the CSPA Dictionary and Cleaning Prod-ucts Test Methods and Guidelines were included in EPA’s Design for the Environment enhanced cri-teria.

• Partnered with EPA on an ingredent communica-tion pilot program for antimicrobial products.

• Published the second update to the First Edition of the Consumer Product Ingredients Dictionary.

• Participated with five other trade associations in U.S. Senate Stakeholder Discussion on TSCA re-form.

• Worked with the NGO community on narrowing our differences on TSCA reform.

• Worked with Congress to defeat onerous petsi-cide fees legislation.

• Worked on the final draft 158W Antimicrobial Data Requirements Rule with EPA, OMB, SBA and Congress.

• Led a coalition on implementation of PRIA II pro-viding predictability to deliver new pesticide prod-ucts to the marketplace; also working through de-tails of PRIA III for 2012.

• Many of CSPA’s suggestions were included in EPA’s revised fact sheet, “Determining if a Clean-ing Product is a Pesticide Under FIFRA.”

• Worked with EPA to resolve most of the remain-ing issues regarding total release fogger mitigation measures.

• Supported efforts that deterred problematic chemical management legislation in six states.

CSPA has another highly productive and successful year in 2011.

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An Active and Successful YearHighlights & Acheivements

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Highlights & Results

• Actively participated in development of policies and procedures for EPA Endocrine Disruptor Screening Program’s initial testing of pesticide ac-tive and inert ingredients.

• Joined allied industry trade groups in a petition to the EPA on the Endocrine Disruptor Screen-ing Program in an effort to resolve procedural and substantive issues with the program and produce useful and reliable data.

• Had a successful year in the states on pesticide-related legislation.

• Concluded more than two years of regulatory work with the California Air Resources Board, saving the industry an estimated tens of millions of dollars.

• Effectively participated in the California Green Chemistry regulatory initiative and similar chemi-cal regulatory initiatives in three other states.

• Cleaning Products Division study on “Physico-chemical Characterization of Grease Interceptors with and without Biological Product Addition” was accepted for publication in Water Environment Research.

• In partnership with the Humane Society of the United States, brought to 17 the number of states requiring antifreeze and engine coolant to contain a bittering agent.

• Reported an historic high for aerosol product pro-duction in the United States and North America for 2010 through the Annual Aerosol Pressurized Products Survey.

• Participated in the Latin American Aerosol Con-gress in Brazil and the associated International Li-aison Meeting with two dozen international aero-sol representatives.

• Assisted in the development of the significantly re-vised 2011 Edition of the NFPA Code 30B for the Manufacturing and Storage of Aerosol Products.

• Held a successful 7th annual California Legisla-tive Day in Sacramento.

• Launched a new CSPA website that increased monthly site visits by 200 percent.

• More than 950 combined guests attended the Mid-Year and Annual meetings.

Annual Meeting 2010

General Session breakfast Mid-Year 2011

Closing Ceremonies, Alder Planetarium Mid-Year 2011

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Consumer Specialty Products Association

Ingredient Communication

Sharing more information about ingredients in productsIngredient communication or “right-to-know” continued to be an active issue for CSPA on many fronts.

In spring 2011, the Association and its allied trade organizations amended industry’s voluntary ingredi-ent communication program launched in January, 2010. The program includes four consumer product categories—air care products, automotive care products, cleaning products, and polishes and floor maintenance products. The amendments, which further demonstrate industry’s commitment to providing consumers with information about the ingredients in proucts, are effective January 1, 2012 and include:

• Additional detail on fragrances, such as a link to the International Fragrance Association list or company-specific list of fragrance ingredients.

• Preservative ingredients listed using one of five accepted naming systems.

• Dyes and colorants listed by the trade name or chemical-specific name using one of the five accepted naming systems.

• The website or number will be listed on the product label if a company chooses to provide ingredient information on a website or through a toll-free phone number.

• The CSPA Consumer Product Ingredients Dictionary can be an additional option for naming ingredients.

While companies continue to share more information about the ingredients in products, it is the position of the industry that any mandatory public policy addressing this issue must strike the appropriate balance between that transparency and protection of Confidential Business Information (CBI). CSPA supports the adoption of federal legislation that would mirror industry’s voluntary program and opposes right-to-know initiatives and legislation that would have the effect of creating state-specific labeling requirements as this would impose an undue burden or barrier to interstate commerce.

EPA’s Design for the Environment Enhances Program U.S. Environmental Protection Agency (EPA)’s Design for the Environment Program (DfE) finalized enhance-ments required for companies seeking the DfE logo on their product. The vast majority of what CSPA dis-cussed with NGOs regarding ingredient communication and recommended to the agency was included. The requirements in the DfE program are comprehensive and robust, making it one of the most extensive ingre-dient communication initiatives applicable to any industry in the world. CSPA did not, however, support the alternative disclosure option for fragrance that DfE chose to add to the ingredient disclosure communication. That language was not part of the CSPA proposal and was unnecessary. Additionally, the enhancements reference CSPA’s Cleaning Products Compendium of efficacy test methods and guidelines and the CSPA Product Ingredients Dictionary.

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Ingredient Communication

Pilot Program for Antimicrobial Products EPA partners with CSPA

EPA’s Office of Pesticide Programs announced its voluntary pilot program for disclosure of inert ingredients in antimicrobial products; ingredients can be listed on product labels or company websites. The EPA website noted:

“At the same time as the rulemaking, EPA had discussions with the Consumer Specialty Products Association (CSPA) regarding how companies might begin communicating information regarding consumer antimicrobial pesticide ingredients prior to the finalization of this rulemaking.”

EPA and CSPA have worked on guidance to antimicrobial pesticide registrants who voluntarily communicate ingredient information to consumers regarding registered antimicrobial pesticides on their company website and/or product labels. CSPA worked with members and met with EPA to demonstrate participating companies’ voluntary ingredient communication initiatives.

The following companies are participating in the pilot: The Clorox Company, Henkel Consumer Goods, Inc., The Procter & Gamble Company, Reckitt Benckiser and S.C. Johnson & Son, Inc. Additionally, EPA ac-knowledged CSPA’s Consumer Product Ingredients Dictionary and noted that:

“A product’s fragrance may be designated as ‘fragrance’ with optional reference to the company’s palette of fragrance ingredients.”

WHAT ARE MEMBERS SAYING?“CSPA is at the forefront of the issues facing our industry. Not only does the organization identify issues, but it develops and executes real world solutions. The leadership shown by CSPA on ingredient disclosure is just one example of the forward thinking consistently delivered by their talented staff and experts.”

Kelly M. Semrau | S.C. Johnson & Son, Inc.Senior Vice President – Global Corporate Affairs, Communication and Sustainability

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Consumer Specialty Products Association

Legislation & Regulation

While legislation has been introduced on state and federal levels in the past, none has been supported by CSPA because they do not strike the appropriate balance between transparency and protecting CBI, among other issues. The past year has required CSPA’s involvement on a number of levels.

• The New York State Department of Environmental Conservation is seeking to implement ingredient disclosure regulation based on existing law. CSPA and other trade associations have on several occasions met with officials including key staff and the Commissioner in the hope of finding an agreeable solution and will continue efforts to try and resolve all remaining issues.

• It was anticipated California Senator Joe Simitian (D-Palo Alto) would amend his Senate Bill 178 to ad-dress consumer product ingredient communication and include industrial and institutional products in the bill language. Senator Simitian chose not to amend the bill when it moved to the Assembly. It is in the Assembly Committee on Environmental Safety and Toxic Materials, where it can be considered in 2012. CSPA continues to engage with the Senator and his staff on the issue.

UPDATE ON CSPA INGREDIENTS DICTIONARYCSPA developed the Consumer Product Ingredients Dictionary to stan-dardize and define ingredient nomenclature for companies participating in the industry’s voluntary initiative. CSPA released the second update to the first edition in 2011. Each ingredient monograph features the CSPA Name for the ingredient, a complete technical definition, plus further information on the ingredient functions, the types of products in which it may be used, regula-tory references, other names that can be used for the ingredient and the trade names of the suppliers that have submitted applications.

Second update includes:319 CSPA Names with Ingredient Monographs defining 849 trade

names for 45 suppliers. Monographs also define 1,231 technical or other names that can be used for these ingredients.

Ingredient Communication

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Antimicrobials & Pesticides

Industry Fees Coalition:• Consumer Specialty Products Association (Chair)• CropLife America (Chair)• American Chemistry Council Biocides Panel• Biopesticide Industry Alliance• Chemical Producers & Distributors Association• ISSA - The Worldwide Cleaning Industry Association • Responsible Industry for a Sound Environment

About PRIAThe Pesticide Registration Improvement Act (PRIA), originally enacted in 2003, provides the U.S. Environmental Protection Agency (EPA) with resources to more fully and efficiently evaluate pesticides and their risks based upon sound science. A unique coalition led by CSPA and the Natural Resources Defense Council worked to-gether to provide input to Congress that helped establish a new provision of the Federal Insecticide, Fungicide and Rodenticide Act (FIFRA); the new provision ensures long-term and stable funding for the EPA’s Office of Pesticide Programs (OPP) through licensing fees from the registrants and provides predictable decision time-lines to bring new products to the marketplace. Stable funding also supports worker protection and grant money for pesticide safety programs. Given the consumer and agricultural uses of pesticides, including for fighting insect-borne diseases, it is critical that EPA has proper resources to process pesticide registrations of all types.

The original act provided approximately $200 million in fees to increase and stabilize funding for EPA’s OPP. The same coalition again worked together to support renewal of the Act which was set to expire in 2008. The renewal in 2008 extended the assessment of those fees through 2012 along with predictable timelines so that industry could bring new and better products to the marketplace.

EPA’s leadership and successful implementation of PRIA I and II have made PRIA a model for a user fee program that establishes predictability and confidence in the OPP program.

CSPA Prepares for PRIA IIIThe Administration again this year sought to increase pesticide fees in both the 2012 budget and the American Jobs Act of 2011. These proposals, at a minimum, would double fees imposed on industry and are prohibited by law under PRIA II. CSPA and the PRIA coalition have opposed these proposals as they would undo the vital elements of PRIA and assess punitive fees on the industry.

CSPA continues to co-chair the industry fees coalition in preparation for the expiration of the assessment of fees for PRIA in 2012 as new legislation will be needed prior to that time. Led by CSPA and CropLife America (CLA), discussions among the stakeholders are well underway regarding the timelines and parameters of legislation. As this report went to press, CSPA and the allied trade associations were working on legislative language with a completion goal of late November, 2011.

CSPA has coordinated with EPA to set up eight work groups to address the following areas of PRIA III: • Fee levels• Decision timelines• IT – tracking system • Inert Ingredients • Screening• Three EPA division chiefs are leading work groups for division-specific chart issues

Pesticide Registration Improvement Act III (PRIA)

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Antimicrobials & Pesticides

CSPA Efforts Result in Improved Fact Sheet

CSPA continued to work with the EPA seek-ing clarification on items included in a fact sheet, “Determining If a Cleaning Product is a Pesticide Under FIFRA.” The fact sheet, which is widely relied upon by industry for ad-vice on what is and is not considered a pes-ticidal claim under FIFRA, was problematic for CSPA’s Antimicrobial, Cleaning and Pest Management Products Divisions.

Following discussions between CSPA, allied trade associations and EPA on modifications to the fact sheet, the EPA in January issued a revi-sion which incorporated many of CSPA’s sug-gested changes, including changing the status of the claim “cleans or removes algae or mold stain” from pesticidal to non pesticidal, and adding an example of a non-pesticide claim that reads: “Cleans or removes stains from al-gae, mold, mildew or other non-public health organisms.”

Total Release FoggersCSPA’s Pest Management Products Division continued to work with EPA to resolve remaining issues regarding total release fogger mitigation measures. While EPA’s Office of Pesticide Products has approved, with minor changes, the Division’s submitted set of pictogram exemplars that can be used on total release fogger labels without ob-taining a second approval from OPP, implementation of these and other changes has been cumbersome and slow. CSPA continues to work with EPA on making the measures more efficient.

In New York, there has been no action by the New York State Department of Environmental Conservation (NYSDEC) to reclassify total release foggers as restricted use products, which has been the agency’s stated intention since October, 2008. Product Ingredient Review (PIR) at CSPA formed a Total Release Fogger Group. Through the group’s counsel, the group filed a Freedom of Information Law request on NYSDEC and the NY Department of Health on July 19, 2010 seeking all documents created or generated by the state that related to product registration and classification/reclassification of total release foggers. The documents have been received and reviewed by PIR.

NYSDEC has not yet acted on its stated intention to reclassify total release foggers and is registering total release foggers that meet the mitigation measures agreed to by EPA, CSPA and other industry groups.

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Antimicrobials & Pesticides

In an ongoing effort to encourage EPA to resolve procedural and substantive issues involving theEndocrine Disruptor Screening Program (EDSP) so that it will produce useful and reliable data, CSPA joined with CropLife America and the Responsible Industry for a Sound Environment (RISE) in a petition to EPA request-ing the technical and programmatic guidance necessary for the program’s success, and to provide this guidance before any additional chemical testing is ordered by EPA. Because the EDSP is a new testing program and a likely foundation for future programs, it is appropriate for EPA to proceed deliberatively, carefully gauge effective-ness, and apply lessons learned. The petition echoed many concerns articulated in a recent report by the EPA’s Office of Inspector General, including the finalization of “specific procedures to evaluate Tier I screening results, or established specific procedures to evaluate Tier II testing results.”

Since the petition was filed, EPA has released the guidance documents that were requested in the petition. As this report went to press, it was unclear if the guidance will be sufficient to ensure careful assessment of the List 1 chemicals and that lessons are learned prior to advancing to additional testing. CSPA, along with broad industry coalitions, has been working extensively with EPA to develop and implement the program and agrees that it is an important scientific initiative that will further ensure the continued safety of consum-ers and the environment as long as EPA works to ensure the reliability of the data generated by carefully assessing the chemicals on List 1 to minimize “duplicative testing,” ensures that lessons are learned before advancing to additional testing, develops comprehensive and consistent guidance, ensures that the timing of testing of the Tier I and Tier II chemicals is coordinated and deals definitively with industry’s concerns for confi-dential business information protection and data compensation.

CSPA, CropLife America & RISE Petition EPA on EDSP

States Consider Pesticide-related LegislationWhile pesticide-related bills have been a significant issue facing CSPA the past few years, many of these did not receive the same attention in state legislatures during 2011. While a handful of states introduced legislation af-fecting pesticide registration fees, CSPA was successful in ensuring that unreasonable fee increases did not pass, that any reasonable increases go to support the pesticide registration program and that all registrants benefit equally. CSPA has also taken an active role to ensure that other legislation concerning pesticide issues does not inhibit consumers from using pesticide products in a responsible manner.

Eight states considered legislation that would impact pesticide products in other ways. Vermont again introduced a bill that would have placed restrictions on specific neonicotinoid pesticides used in the state. This legislation was not taken up in 2011. California, Maine, New Hampshire, New Jersey and New York all considered various proposals that would impact pesticides used in a wide array of public settings, from schools and daycares to hospitals and restaurants, but each of these bills received little interest as state budgets again dominated much of the discussion. CSPA continues to oppose overly restrictive mandates and promotes the judicious use of pesticides as an integral part of any integrated pest management program.

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Late in 2010, CSPA’s Antimicrobial Products Division filed five sets of comments with the Organisation for Economic Co-operation and Development (OECD) regarding draft test methods and guidelines for the efficacy of antimicrobial products. Because the U.S. EPA’s test guidelines are harmonized with those established by the OECD, this was an important issue for CSPA members.

CSPA comments filed included:

A.) Test Guidelines on quantitative method for evaluating: • Bactericidal activity of microbicides used on hard non-porous surfaces; • Fungicidal activity of microbicides used on hard non-porous surfaces; • Mycobactericidal activity of microbicides used on hard non-porous surfaces; and • Virucidal activity of microbicides used on hard non-porous surfaces.

B.) A Guidance Document on the conduct of quantitative methods for evaluating the bactericidal, fungicidal, mycobactericidal and virucidal activities of microbicides used on hard non-porous surfaces.

As this report went to press, CSPA was working on comments to the Draft 810s guidelines on air sanitizers, water and textiles that are due December 14, 2011.

CSPA continues to work on the draft Part 158W Antimicrobial Data Requirements rule and is encouraging the EPA to re-propose the rule. CSPA has numerous concerns with the rule, including: EPA has not published final testing guidelines for many of its Part 158W data requirements; use patterns are not clearly defined; too many data requirements are conditional; and EPA/FDA jurisdiction issues are not clear.

Update on 25(b) The EPA anticipates that the first of two proposed rules regarding “minimum-risk” pesticides (FIFRA §25(b) products), which currently are exempt from registration and data submission requirements under FIFRA, will be available for public review and comment by the end of 2011. These products contain one or more minimum-risk active ingredients, such as castor oil, and can only contain inert ingredients specified by the EPA. In addition to the two proposed rules that deal directly with 25(b), EPA is also working on a Product Performance Data Re-quirements Rule, which would be applicable to invertebrate pesticides and would put data requirements in the Code of Federal Regulations. This third proposed rule would be applicable to products that would now have to undergo registration.

This rulemaking activity is in response to the CSPA petition filed in March of 2006 requesting that EPA initiate a rulemaking to exclude the minimum risk exemption for pesticides that claim to control “pests of significant importance.”

Antimicrobial ProductsDivision ContinuedCommenting onCritical Issues

Antimicrobials & Pesticides

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Air Care

It was little more than a decade ago that CSPA added a seventh division to the Association. The Air Care Division began with a basic mission to proactively develop programs that positively promote the air care market while communicating the responsibility it holds to the consumers it serves. Today that original mission continues while expanding to include advocacy on behalf of the air care industry and pro-tection of its intellectual property.

In ReviewThroughout the year, the Air Care Division was engaged in a number of specific efforts on behalf of industry. The Division’s Communications & Education Committee worked closely with CSPA’s Communication Depart-ment on the update and enhancement of its public focused website – www.AboutAirCare.com. The aim of this effort will be to create a more robust and useful website that reflects a positive characterization of the air care industry while dispelling misinformation about air care products. The revised site is slated to be complete in 2012.

Committee NewsOther Air Care committees were also very active. The Program Committee worked in conjunction with CSPA’s International Affairs Committee to conduct a successful webinar on REACH (the Air Care Division monitors ingredient registration activity in the EU), and the Deodorization Committee completed the peer review process and readied for publishing its screening tool for assessing the deodorization effectiveness of air care and re-lated products. The testing methodology will establish a standard method for assessing the efficacy of air care products and will help companies save money in new product development and formulation changes.

The Device Committee continued its work with Underwriters Laboratories to assess how a change in fra-grance ingredients would impact flashpoints for fragrance liquids used in electric air freshener devices. The goal of this project is to reduce the cost of retesting fragrances.

Air Care Continues toMove Forward

354 The number of ingredients or monographs listed within the Consumer Product Ingredients Dictionary.

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Air Quality

CSPA’s Air Quality Committee (AQC) A Productive YearWith more than 250 participating members, AQC is CSPA’s largest and most active committee. During 2011, the AQC was engaged in advocating members’ consensus position on new regulations proposed by the Cali-fornia Air Resources Board (CARB) and the Ozone Transport Commission (OTC) states that set new or revised limits on the amount of volatile organic compounds (VOCs) that companies can use to formulate a wide range of products.

California Air Resources Board (CARB)CSPA in late 2010 succeeded in eliminating several unacceptable provisions proposed for CARB’s 2010 Amend-ments, including compliance labeling and several problematic provisions in the current rule; and reached full agreement with CARB on issues except for the VOC limits on two narrow product subcategories. CARB’s 2010 Amendments established 15 new VOC limits that will take effect by the end of 2012 and 2013, thus completing CSPA’s more than two years of very successful regulatory work that saved the industry an estimated tens of millions of dollars.

CSPA formed a new Aerosol Coatings and Adhesives Task Force, which began the process of developing com-ments for CARB’s 2012 Amendments that will focus primarily on aerosol coatings and aerosol adhesives.

In an ongoing effort for more than ten years advocating that CARB needs to develop alternatives to new con-sumer product VOC regulations, ACQ’s new Regulatory Alternatives Task Force began developing positions and strategies to enhance the CARB Alternative Control Plan regulation and develop alternatives to further manda-tory VOC regulations by CARB and other states.

3.7B The estimated number of units filled as reported in CSPA’s 60th Annual Aerosol Pressurized Products Survey.

AQC

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Air Quality

U.S. Environmental Protection Agency (EPA)AQC continued to actively support action by EPA to develop reasonable revisions to the national regulation. In January, CSPA responded to a request for input from Congressman Issa (R-CA) by providing a list of recom-mended regulatory reforms, including revision of the National Consumer Products Rule. CSPA continues to work closely with OTC State agencies in encouraging EPA to use the 2014 OTC Model Rule as the basis for revisions to EPA’s National Consumer Product Regulation.

CSPA continued to oppose EPA actions to adopt an ozone standard even lower than the revised standard that was adopted in 2009. In September, the Administration announced that EPA would defer further consideration of a new ozone standard until 2013.

Ozone Transport Commission and Other StatesCSPA was an active stakeholder in the OTC’s public proceeding to develop its 2014 Model Rule for Consumer Products. This new Model Rule includes new (or revised) VOC limits for 15 broad categories of consumer prod-ucts. CSPA engaged in numerous telephone discussions with OTC state agency officials; in April and September, CSPA filed detailed written comments on proposed revisions to the Model Rule. In addition, CSPA presented testimony at the OTC’s meetings in March, June and September. In June, CSPA submitted comprehensive comments to Illinois on its proposed VOC regulation (based on the 2009 OTC Model Rule).

In September, CSPA filed written comments on the revised proposed regulation issued by the D.C. Department of the Environment. Additionally, CSPA presented testimony at the Department’s public hearing.

CSPA Offers Tools for Air Quality Compliance • CSPA staff continually updated the CSPA State and Federal VOC Regulations Matrix, which is available to

members only. The document is designed to assist members’ efforts to comply with the complex array of consumer product regulations in California and 15 other states.

• CSPA staff also developed a new matrix to identify various states’ restrictions on the use of chlorinated

solvents.

• CSPA continued to work with AQC members to keep them fully informed about filing deadlines in California and other states for date-code and other required administrative reports.

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TSCAIssue SummaryEfforts are underway to modernize the Toxic Substances Control Act (TSCA) of 1976, the federal govern-ment’s chemical regulatory law. In lieu of a bill advancing through Congress, many states have taken individual actions to help assure the safety of chemicals used in consumer and other products. Additionally, the U.S. Environmental Protection Agency (EPA) has taken many actions under existing TSCA law to exercise greater authority.

Industry PositionCSPA and its member companies support efforts to modernize TSCA so that it reflects the more than 30 years of advancement in science and technology since it was first enacted. A modern and robust TSCA would elimi-nate the need, felt by some state legislatures, to create individual chemical regulatory schemes that would result in an unworkable patchwork quilt of state laws that would make it difficult for CSPA member companies to market their products nationwide.

Legislation/Resolutions in the States

More than 15 states introduced resolutions asking Congress to re-form TSCA. As a result of the lack of action at the federal level, CSPA was very active in states considering legislation that would grant state agencies authority to regulate and ban chemicals. CSPA sought amendments to problematic legislation when necessary to ensure sound science and a risk-based approach to reviewing chemicals in products in Alaska, Illinois, Maryland, Massachusetts, Nevada, New York, Oregon, Vermont and Washington.

CSPA supported efforts that resulted in defeated legislation in Alaska, Maryland, Massachusetts, Nevada, New York and Vermont. While no bills passed, the trend will continue next year.

Chemical Legislation & Regulation

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Chemical Legislation & Regulation

Regulation in the States CSPA remained an active participant in the regulatory processes in California, Minnesota and Washington where bills were previously enacted. The Association continues to be an active member of the steering committee of the Green Chemistry Alliance (GCA) in California; the coalition coordinates industry response to the implementation of two green chemistry bills enacted in 2008. In addition, CSPA has engaged with regulatory agency staff and par-ticipated in advisory panel meetings articulating con-cerns with proposed regulations and opportunities to make the regulatory process robust, meaningful and science-based.

CSPA co-sponsored an alternatives assessment edu-cational symposium in September and presented an overview of its product stewardship program, Prod-uct Care®, and other industry stewardship programs at the symposium. The public symposium was orga-nized as a way to present to the Department of Toxic Substances Control (DTSC) and other CalEPA staff industry best practices (alternatives assessments) that identify and analyze potential improvements to an existing product, which is central to developing safe products wanted by consumers.

Through the GCA, CSPA also participated in meet-ings with regulatory agency staff and submitted com-ments on regulatory proposals implementing the Tox-ics Information Clearinghouse and identifying hazard traits to the Office of Environmental Health Hazard Assessment.

CSPA supported efforts to revise Maine’s 2008 Kid Safe Chemicals Act, LD 1129. While those amend-ments failed to achieve the changes sought by CSPA and allied industries, the bill did make some additional requirements for a sound scientific process in Maine.

In Minnesota, CSPA has participated in stakeholder activities to help prevent chemical bans or the de-velopment of another state-based green chemistry program. CSPA continues to participate in Phase 2 discussions of the stakeholder process. One of the proposals under discussion is a science advisory group that would advise the legislature or state agen-cies on scienctific issues related to chemical prod-ucts. The concept is to take questions of science out of the legislative arena and provide another scientific forum on chemical issues addressed by the Depart-ment of Health or Pollution Control Agency.

The Washington Department of Ecology promulgat-ed the final Children’s Safe Products Reporting Rule in July 2011, which establishes the list of chemicals for which manufacturer notices are required; estab-lishes what manufacturers of children’s products must do to comply with the notice requirements; and clarifies the enforcement processes the de-partment will use if manufacturers fail to provide notice as required. CSPA commented on several pro-visions of the regulations and will continue to engage in its implementation. In addition, the department is undertaking development of guidance on alternatives assessments in partnership with seven other states with funding from a grant from EPA. In September, the department sought comments on initial scoping questions. CSPA responded to the request for com-ments.

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Consumer Specialty Products Association

At the Federal LevelSenator Frank Lautenberg (D-NJ) introduced legislation, S. 847, known as the Safe Chemicals Act of 2011, to amend TSCA to “ensure that risks from chemicals are adequately understood and managed.” While CSPA acknowledged some positive changes over the earlier bill introduced by Senator Lautenberg during the last Congress, the legislation would still require significant modification in order for CSPA to support its passage.

CSPA’s RoleThroughout this process, CSPA has maintained a strong role on behalf of the downstream industry in discus-sions with Congress, the EPA and other industry and NGO stakeholders. With TSCA primarily impacting the “upstream” manufacturing side of industry, CSPA’s role has sought to focus on the “downstream” issues, prin-cipally related to the need for processors to provide more robust use and exposure information to EPA in the prioritization, review and reporting elements of TSCA. CSPA’s approach in these discussions continues to seek a balance in the process that will work for industry both in practice and in principle—to protect innovation and confidential business information while also ensuring consumer confidence in the protection of human health and the environment.

WHAT ARE MEMBERS SAYING?“Our company operates in a heavily regulated industry, both at the state and federal levels. Being active members of CSPA is the most cost effective way for us to stay on top of all of the regulatory issues that impact our industry.”

William Auriemma | Diversified CPC International, Inc.President and CEO

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Chemical Legislation & Regulation

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CSPA’s Role (cont.)

The TSCA discussion has proceeded on three fronts:

Congress No legislation can be assured final passage if it does not have both Democratic and Republican support. To that end, TSCA discussions with staff on Capitol Hill have built from a shared belief that updates are needed to address both industry and regulators’ calls for a modernized TSCA that is risk-based and considers the more than three decades of advances in science and technology to review and assess chemical safety. CSPA was one of six trade associations invited to participate in meetings with Senate staff of the Subcommittee on Superfund, Toxics and Environment Health of the Senate Environment and Publics Works Committee. These discussions were directed to help legislators better understand the issues and to determine if there was suf-ficient room for a legislative agreement on TSCA. No similar activities have occurred in the House Energy and Commerce Committee on TSCA, however, the House remains actively engaged in oversight of the EPA with regard to their regulatory activities.

EPA While TSCA legislation remains stalled in the U.S. Con-gress, the EPA has been “testing” the expansion of the scope of their existing authority under TSCA. CSPA has maintained an open line of communication with the EPA and has been successful in arranging a series of meetings with senior EPA staff to better understand their plans for TSCA-regulated chemicals. There is a strong opportunity for CSPA, along with its allied downstream trade associ-ations, to work with EPA on how to collect and manage downstream chemical use and exposure information need-ed to better inform EPA decisions under TSCA.

Stakeholder GroupsStakeholder discussions at all levels have served to com-municate a shared commitment to TSCA modernization, which has helped “move the bar” on positions, which is the only way to reach agreement on TSCA’s legislative chal-lenges. It is essential that industry remains aligned in sup-port of a TSCA law that is focused on chemical safety and the protection of human health and the environment. To that end, CSPA is a Steering Committee member of the American Alliance for Innovation, a coalition of 80+ trade associations whose industries would be impacted under TSCA. CSPA also is closely aligned with downstream trade associations on the issues of prioritization, use reporting and confidential business information.

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Chemical Legislation & Regulation

Industry and NGOs need to be part of final agreement Discussions on Capitol Hill and with EPA have conveyed that both industry and NGO support must be part of any final agreement on TSCA. CSPA has taken part in dialogue with leaders in the NGO community, includ-ing the Environmental Defense Fund and the Safer Chemicals Healthy Families co-alition, to see if each side could better un-derstand the priority concerns of the other as part of the TSCA process. CSPA, along with these NGOs, wrote a joint letter to EPA Administrator Lisa Jackson in November 2010 regarding mutual interests on provid-ing reliable use and exposure information on chemicals in commerce. While there is still much work to be done on these and other issues, there are areas where prog-ress has been made where stakeholders can reach agreement. The goal is to build from that consensus and to make progress on some of the more challenging areas of TSCA modernization.

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Consumer Specialty Products Association

Further expanding industry’s expertise through partnership with academia, CSPA’s Cleaning Products Division worked with North Carolina State University to author a new study, “Physico-chemical Characterization of Grease Interceptors with and without Biological Product Addition.”

Currently awaiting publication in the Water Environment Federation’s Water Environment Research, the study will help the Cleaning Products Division’s Biological Task Force with assisting regulatory authorities in proper consideration and regulation of biological treatments for grease traps, drain lines, lift stations, sewage systems, and sewage treatment facilities. Additionally, the research will be used to assist key influencers in promoting the product class based on good science and the use of product validation testing to enable marketers to validate product effectiveness with standard-ized methodology.

New Compendium 5th Edition Updated Test Methods + Guidelines The Cleaning Products Division is preparing for the 2012release of the updated fifth edition of the CSPA’s Clean-ing Products Compendium. The 21 scientific test meth-ods and guidelines will be available electronically and feature updates in the areas of machine dishwash-ing, rug shampoo, disposition of glassware, hand dish-washing, oven cleaner efficacy, laundry products and surface abrasion. Currently, the EPA’s Design for the Environment program references ten of these test methods and guidelines in its certification program.

New StudyTo Be Published

Cleaning Products

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Polishes & Floor Maintenance

Drawing on Expertise and Sharing Industry InsightsContinuing efforts to establish itself as the foremost provider of technical expertise pertaining to floor care is-sues, CSPA’s Polishes & Floor Maintenance Products Division secured two major accomplishments during the past year.

In addition to providing input to the EPA on the DfE Master Guidelines’ possible inclusion of functional class criteria for floor finishes and strippers, the division was able to place two of its members on the DfE Continuing Technical Improvement Group. Members Jamey Gaston, Omnova Solutions, Inc., and Dr. Ted Tysak, The Dow Chemical Company, joined the group which was established to review and advise on recom-mendations currently under DfE program consideration. Through their participation, member companies will be given the opportunity to provide input to the DfE process of developing criteria for environmentally preferred ingredients for floor care products.

As it pertains to floor safety and standard development, the division recently approved two informative technical papers on polish and floor maintenance practices and procedures. The first paper, “Floor Safety: Measuring Slip Resistance,” advances CSPA’s long-standing commitment to finding solutions through the active monitoring and evaluation of slip resistance and pedestrian safety practices. The second paper, “Measuring the Slip Resistance of Wet Floors,” continues this effort by providing a more robust review of five different types of equipment designed to test and evaluate a variety of flooring types under adverse wet conditions. CSPA is working closely with the Resilient Floor Covering Institute to increase awareness on the continued need to review these types of studies to assure strong and appropriate industry standards are maintained for measuring floor safety.

7,200 The total number of unique visitors to the new CSPA websitesince its launch on August 25, 2011.

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Consumer Specialty Products Association

Aerosol Products

Automotive & Industrial

CSPA’s 60th Annual Aerosol Pressurized Products Survey revealed that estimated total units filled in 2010 was 3.7 billion, which establishes the historical high for fillings in the U.S. This figure exceeds—by almost 7 million units—the 2005 record.

• Household and personal care products rank as the two highest production prod-uct categories, with household products reporting a 9.2% increase in 2010 over 2009.

• Growth can be attributed to the fact that our companies continue to deliver in-novative, convenient and efficient products via this unique packaging form that consumers desire.

• Strong growth in Mexico and Canada coupled with the U.S. figures brings the estimated total for North American aerosol production in 2010 to 4.2 billion units, also an historic high.

• North America continues to maintain an approximate one-third market share of global aerosol production.

CSPA’s Industrial and Automotive Products Division this year began working on its positions surrounding the U.S. Environmental Protection Agency’s (EPA) Tier 3 rulemaking to limit the sulfur content of gasoline and gasoline fuel additives that would impact manufacturers of those products, such as fuel system cleaners, fuel stabilizers and other gas treatments.

The Division established a task force to be in regular contact with EPA and engaged in the Small Business Regulatory Enforcement Fairness Act process, which will help determine to what degree limitations on sulfur content would impact small businesses. The Division will continue in 2012 to work with its members to pro-vide EPA information as necessary to prevent any overly restrictive limits established on company products.

CSPA also continued its leadership role with the Automotive Specialty Products Alliance (ASPA), including four representatives from CSPA on its board of directors in addition to providing primary staff support. ASPA cre-ates a unified industry voice for members engaged in the automotive chemical and vehicle appearance prod-uct markets before state, regional and federal legislators and regulators. See page 32 for more information.

Aerosol Production Reaches Historic Highs

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“Green” Products Legislation Widespread in State Legislatures

“Green Products” continue to receive attention in state legislatures. Poli-cymakers have focused on using the state’s purchasing power and placing mandates on state-regulated entities to promote “green” cleaning. Since

2006, the governors of Connecticut, Maine, New Jer-sey, New York and Washington have issued executive orders requiring state agencies to adopt environmen-tally-preferred purchasing (EPP) programs aimed at increasing the use of “green” cleaning products.

EPP legislation centers on restricting the use of clean-ing products in schools or public buildings. To counter unfounded and negative claims about cleaning prod-ucts, CSPA stresses the important human health and other benefits of consumer and commercial cleaning

products. CSPA also supports flexibility in any EPP program, the need to keep antimicrobial products and disinfectants exempt from EPP programs due to their public health benefits, and urges states to recognize multiple third party agencies in certifying products.

Eight states considered EPP bills in the past year, in-cluding Maryland, Massachusetts, New Jersey, New York, North Carolina, Rhode Island, Texas and Ver-mont. CSPA was successful in preventing action on all detrimental legislation. Four green cleaning bills remain under consideration in the Massachusetts Joint Public Health Committee. CSPA is working with committee leadership to ensure that any bill the com-mittee passes contains the industry supported pro-visions described above. The New Jersey bill is the only other piece of legislation that is still eligible for consideration, though movement before the end of the year seems unlikely, and it will not carry forward into 2012.

Other Key Highlights

States Mandating Aversive Agents in AntifreezeCSPA continued working with the Humane Society of the United States to support state legislation that requires engine coolant and antifreeze to contain a bittering agent, making it unpalatable to animals and humans. This year ten states, including Alabama, Georgia, Maryland, Massachusetts, Michigan, New Hampshire, New York, Ohio, Texas and West Virginia, considered antifreeze-related bills. Georgia, Maryland and West Virginia passed mandates bringing the total to seventeen states. Despite the Association’s opposition to a Maryland bill, it ultimately passed without industry-supported language. Only the Michigan and Ohio bills remain eligible for consideration in 2011.

Consumer Product Incident Database SheetIn March 2011, The U.S. Consumer Product Safety Commission (CPSC) launched a searchable public data-base of reports of harm related to the use of consumer products and other products or substances within the jurisdiction of the CPSC. The database, a requirement under the Consumer Product Safety Improvement Act (CPSIA) passed in August 2008, is publicly available, searchable and accessible through the CPSC’s website. CSPA expressed strong concerns about the development database through extensive comments filed with CPSC.

CSPA had actively supported a bill this summer that would, among other things, have resulted in an improved database. The bill did not address all of CSPA’s concerns but it provided new direction to the CPSC regarding the need to better monitor and manage reports of harm under the database. CSPA continues to monitor this issue and provide input to Congress and CPSC.

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Consumer Specialty Products Association

Beyond The StatesWhile much of CSPA’s efforts on behalf of industry can be witnessed within the borders of the United States, the Association also is very active on the international front.

Through the work of the International Affairs Committee, CSPA fosters the growth and well being of the household and institutional products industry by monitoring issues outside the U.S. and acting on them where appropriate, including through participation and representation in inter-national forums. When the Strategic Approach to International Chemicals Management (SAICM) brought in industry representatives to tackle a number of emerging issues, International Affairs participated on the “Chemicals in Products” business and industry working group.

During the past year, International Affairs also established a Globally Harmonized System of Classification and Labeling (GHS) Subcommittee to identify priorities and challenges for GHS implementation and com-pliance within the U.S. and abroad. The GHS Subcommittee was established to work in conjunction with other CPSA divisions and committees to provide more input from member companies regarding increased activity in the U.S. implementation of GHS (via the Occupational Safety & Health Administration and the De-partment of Transportation), and globally within the U.N. Committee of Experts on GHS, other international bodies (Asia-Pacific Economic Cooperation, Organisation for Economic Co-operation and Development and SAICM) and other countries (China, Japan, South Korea and Canada).

To further expand CSPA members’ understanding of international regulations, International Affairs held a series of educational webinars with a focus on GHS and Registration, Evaluation, Authorisation and Re-striction of Chemical substances (REACH). Additionally, the Committee established and distributed the first of a regular periodic update with relevant news and events to keep members informed and engaged in the committee.

Global Aerosol Efforts

Last December, the U.N. Transport of Dangerous Goods Committee of Experts held a meeting in Geneva, Switzerland, where the group approved the CSPA/Federation of European Aerosol Association (FEA) pre-ferred requirements for the labeling of aerosol products. The action avoided two major new provisions for non-flammable aerosol products opposed by CSPA: the use of the gas cylinder symbol, and labeling the percent of flammable content for non-flammable aerosol products. This action successfully completed a broad international effort coordinated at last year’s International Liaison Committee meeting, with major efforts contributed from the Canadian and Australian associations, as well as CSPA and FEA.

Additionally, CSPA President and CEO Chris Cathcart, along with CSPA Aerosol Products Division Chair Bill Frauenheim (Diversified CPC International, Inc.) and member Esther Rosenberg (DuPont de Nemours & Company), supported the International Liaison Committee this past fall in Sao Paulo, Brazil, by giving ten presentations on various industry related topics during a full day meeting. Also during the trip to Brazil, Cathcart provided a presentation before the Latin American Aerosol Congress.

International Affairs

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New WebsiteEnhances CommunicationAs part of a strategic effort to enhance the Association’s communication tools while adapting to an ever changing internet landscape, CSPA recently re-launched its website. The modernized site, which is equipped for more efficient and streamlined e-commerce and designed for greater search engine optimization, still contains much of its core functionality and content but has an expanded advocacy section in addition to the history of CSPA, and a more ro-bust news section. In terms of new features, the website al-lows for convenient social media connectivity and presents visitors with more opportunities to become involved in the Association’s many activities and programs, including the product stewardship initiative, Product Care®.

As a companion tool to the website, CSPA’s Communication Department is in the process of upgrading and re-launching the Association’s members only site. The new members only site is expected to be completed in early 2012.

Statistical increases for new CSPA website are displayed below.

Communications

100%Site ContentPages of content rose from 523 to more than 1,100.

28%Unique VisitorsThe average number of unique visitors accessing the site each month has increased.

53%Time SpentThe average time a visitor spends on the site pervisit has increased.

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Consumer Specialty Products Association

A Decade of Product Stewardship

The year was 2000. Poised before a full house at the Mid-Year Meeting in Chicago, CSPA’s newly in-stalled president, Chris Cathcart, made the case to the membership about the need for the Association to move forward in developing its own signature product stewardship program. Cathcart saw the need for such a program as not only as a shift in the mindset of how companies do business, but more of a necessity for the future success of the formulated chemical prod-ucts industry.

Among the early champions joining Cathcart in an ef-fort to make the program a reality, were then board member Dana Winn of The Procter and Gamble Com-pany, and Bob Hamilton of Amway. The two were tapped to lead the effort as chair and vice-chair re-spectively, of a new initiative that would later come to be known as Product Care®. Other CSPA members such as Arno Driedger (Stepan Company), Neil Sny-der (Reckitt Benckiser), Peter Hess (JR Hess & Com-pany, Inc.) and Rick Kingston (SafetyCall Internation-al), would join them to bring Product Care to fruition.

Later in the year things began to crystallize as the first draft of the product stewardship program was pre-sented to CSPA and the board at the December 2000 annual meeting in Florida. At the program’s core was a set of codes of practice covering each aspect of product design, manufacturing and marketing. Seven committees, representing the life cycle of a product (product design; raw material, packaging and service supply; manufacture and production site manage-ment; product storage and distribution; in-market support, incident evaluation and follow-up; consumer education and outreach; and product disposal) helped

draft the guidelines for the new program.

Historically, while not all of CSPA’s member compa-nies produced consumable products, the group con-cluded that an additional “Preamble” statement was needed to indicate that this stewardship program was intended for the entire diversity of CSPA members. The new program was designed to be inclusive and accessible to everyone.

CSPA General Counsel Brigid Klein was chosen to be the point person to work with members in getting the program launched and advancing the association’s product stewardship efforts. Gradually, more CSPA members joined the cause, contributing ideas and stewardship concepts that would become a more central aspect of the association.

After settling upon the name that would come to de-fine this industry stewardship initiative – Product Care – and creating a logo that resonated with member companies, the program was later officially proposed to and unanimously approved by the CSPA member-ship at the December 2001 Annual Meeting. Prod-uct Care would be a voluntary Code of Management Practice that would provide a framework of guidelines for developing, manufacturing, distributing and mar-keting products made by CSPA member companies.

In 2002 under Cathcart’s leadership, CSPA officially unveiled industry’s Product Care program before members of Congress, representatives of government and CSPA member companies at the National Press Club in Washington, DC. Guest speaker, James Full-er, then chief of staff of the U.S. Consumer Product Safety Commission (CPSC), stressed the cooperative relationship between CSPA and the agency, describ-ing Product Care as an “immense tool for consumers and for CPSC.”

That same year, Product Care held its first train-ing seminar, conducted by Winn and Hamilton (Rick Kingston would later join Dana Winn, replacing Bob Hamilton as co-trainer), in Washington, DC with a

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10th Anniversary of Product Care

two-day session that introduced the program. Addi-tional seminars were added and held in Chicago at the Mid-Year Meeting and in Florida at the Annual Meet-ing. There was even a Product Care business meeting for member companies added to the meeting itiner-ary, and by year’s end 43 companies had committed to participating in the program.

Industry’s new stewardship efforts were lauded by consumers, regulators and NGOs alike. Even big box retailer Target’s vice president of government affairs praised and supported the Association’s efforts on Product Care. Later in the program’s life Wal-Mart too would recognize Product Care as an indicator of good stewardship in the implementation of its Chemical Analysis Review Program.

As the years went on, the program continued to evolve and more members participated, sharing their ideas for stewardship. In 2005, CPSC supported the use of Product Care’s distinctive logo on the product labels of participating companies. Irving, Texas-based NCH Corporation became the first Product Care participant to place the logo on more than 400 of its products in a variety of categories. ZEP, Inc., a manufacturer of institutional maintenance and sanitation products, be-came the second member to use the logo on its prod-ucts, followed by Faultless Starch/Bon Ami Company.

Throughout this decade, CSPA invested heavily in showing members that not only was Product Care “the right thing to do” as well as a sound business strategy, but also that there were ancillary benefits to participation. From a liability standpoint, participa-tion in the program could mean fewer incidents, and fewer incidents could mean monetary savings from decreased insurance premiums. Additionally, CSPA companies that joined Product Care became eligible for a 10% premium discount when they signed up for CSI Plus, a program that offered a broad spectrum of coverage through CSPA’s Consumer Specialties In-surance company (CSI).

Today, participation is steady and is in good hands under the leadership of Product Care chair John Ab-planalp (co-chair David Beaham passed away in 2011) and vice-chair Mark Cohen (NCH Corporation). Winn and Kingston continue to run the program’s lively and informative training sessions.

Ten years ago CSPA began Product Care as a way to communicate the benefits of good product steward-ship to consumers, the public, and policy makers. Its long term aim was to help member companies oper-ate more efficiently and effectively; demonstrate the great care that CSPA companies take to ensure that consumers enjoy the benefits and protection of con-sumer specialty products; and to curb or prevent un-necessary regulatory oversight.

As the program moves forward into its next decade, the goal is simple…increase Product Care’s relevance and continue to grow its membership.

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Product Care display, Annual Meeting 2010

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Consumer Specialty Products Association

Award Programs

Congratulations to:

• Paul Szczesny, S.C. Johnson & Son, Inc. Aerosol Products Division

• Heidi Fuentes, Reckitt Benckiser Air Care Products Division

• Diane Boesenberg, Reckitt Benckiser, Inc. Antimicrobial Products Division

• Mark Ventura, Church & Dwight Company, Inc. Cleaning Products Division

• Michelle Rudnick, CRC Industries, Inc. Industrial & Automotive Products Division

• Bill Metzger, United Industries Corporation Pest Management Products Division

• Russ Craig, OMNOVA Solutions, Inc. Polishes and Floor Maintenance Products Division

Volunteer Recognition Awards Each year CSPA honors one person from each of its seven Divisions who has made a significant contribution to the Association in the advancement of its goals.

The Allderdice Award: Dave CarlsonThe Charles E. Allderdice, Jr. Memorial Award is CSPA’s highest honor bearing the name of CSPA’s esteemed past president. Each year, the Association selects a member who has demonstrated exemplary commitment and service to the con-sumer specialty products industry and the Association. The 28th recipient of the Allderdice Award was McLaughlin Gormley King Company’s, Dave Carlson, who served as technical lead for the CSPA managed Pyrethrin Joint Venture and Non-Dietary Exposure Task Force. The Association recognized him for his long-standing and passionate support of CSPA and the pesticide industry. (image left, top)

The Chairman’s Outstanding Achievement Award: Charlie OrtmannCSPA Chairman Adam Selisker, CRC Industries, Inc., selected Charlie Ortmann of Diversified CPC as the 2010 recipient of the Chairman’s Outstanding Achievement Award. The award was given in recognition of his tireless work on the Aerosol Pres-surized Products Survey as well as significant contributions made to the Aerosol Products Division and industry overall. (image left, bottom)

2011 Murray Glauberman Scholarship Award: Rennie SongCSPA selected student Rennie Song from Plano, Texas, and daughter of Min Xie of Central Life Science, as the 23rd recipient of the Murray Glauberman Memorial Schol-arship Award. The scholarship, which is awarded to one person annually, recognizes a student whose leadership, extracurricular contributions and accomplishments, in and out of school, have been exemplary.

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Product Ingredient Review (PIR)Each year the Product Ingredient Review (PIR) works with CSPA member companies and others, to research and develop valuable health and safety data which is then used by producers and marketers of antimicrobial and pesticide products for registration with federal, state and international agencies. PIR groups have also developed data related to aerosol product flammability and VOCs and are well positioned to direct efforts on a number of issues where data needs to be compiled in a confidential manner and under established antitrust guidelines. During the past year PIR collaborated with CSPA member companies to form two new joint ven-tures, bringing the total active amount to 34. Since the launch of PIR, 43 joint ventures have been formed.

The two new joint ventures include the Plastic Aerosol Research Group, LLC which was developed to gen-erate data pertaining to the transportation, manufacturing and storage of consumer products stored in plastic aerosol containers, and the Council for the Advancement of Pyrethroid Human Risk Assessment, LLC, whose objective is to address age-related sensitivity to pyrethroids and pyrethrins as requested by the U.S. Environmental Protection Agency (EPA). The new joint ventures include 16 and 17 participating companies respectively.

PIR continues its ongoing work to form joint ventures and task forces as it relates to federal, state and interna-tional data requirements and regulatory issues. To learn more about getting involved, visit online at www.cspa.org/affiliates-dedication/pir.

Working with GovernmentThis past year, PIR worked in consultation and cooperation with the EPA on a landmark initiative, the Pyrethrins Stewardship Program, to evaluate incidents of either dermal or respiratory effects related to pyrethrin-containing product use.

Nationwide Educational InitiativePIR’s DEET Education Program, which is chaired by Jean Fugate of S.C. John-son & Son, Inc., continued its collaborative work with the U.S. Centers for Dis-ease Control and Prevention to raise awareness on how best to prevent mos-quito and tick bites with the popular “Fight the Bite” poster contest for fifth and sixth graders nationwide. The 2011 national fifth-grade winner, Mitchell Mast (Hart, Michigan) and the national sixth-grade winner, Safari Jones (Kapolei, Ha-waii) were each awarded the national grand prize of a $1,000 U.S. Savings Bond. Local state winners were also chosen, each being awarded a $50 savings bond.

In DEET related news, PIR worked with CSPA Communications on the struc-ture and functionality of the DEET website, www.deetonline.org, in an effort to make it easier to find online and more user friendly.

Programs & Affiliates

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Programs & Affiliates

ACE Forges New Partnerships

The Alliance for Consumer Education (ACE) experienced one of the foun-dation’s most productive years in recent times. Through a collaborative effort involving CSPA staff, association members and a number of social and health organizations, ACE was able to expand its message of inhalant abuse preven-tion, disease prevention and poison prevention nationwide.

Ally in the Senate In an effort to further raise its national profile and shine a brighter light on its work on inhalant abuse prevention, ACE named U.S. Senator Herb Kohl (D-WI) as the foundation’s honorary chair. Senator Kohl, a strong advocate for ACE’s inhalant abuse prevention program, made a national push for more resources and dedication towards ensuring that people understand the risks and consequences of inhaling common household products. The Senator’s support will help amplify ACE’s education message to parents and communities across the country.

“Substance abuse derails promising young lives in ways that few other things do. The risks and dangers in chasing for a high are well known but the methods change, so cooperation among parents, community lead-ers, educators and retailers is fundamentally necessary to combat substance abuse,” said Senator Kohl. “The Alliance for Consumer Education is dedicated to protecting our young people from harm, and I’m honored to serve as the foundation’s honorary chairman.”

On a related note, ACE also consulted with CSPA staff on proposed inhalant focused legislation that could be utilized by states or counties throughout the country. The model could be used to encourage communities to enact an educational rather than restriction-based program to combat inhalant abuse.

A Perfect Strikeout in MinnesotaWorking in conjunction with CSPA’s department of Leg-islative and Public Affairs, ACE was able to secure a partnership with Major League Baseball’s Minneso-ta Twins and launch the Minnesota-based “Strikeout Inhalant Abuse” program.

Before a sold-out Twins home game crowd, ACE par-ticipated in an on-field ceremony, unveiled a new Pub-lic Service Announcement and distributed thousands of co-branded and message-driven giveaways to attendees.

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Programs & Affiliates

On and Offline • This past year, ACE launched its new “Heroes of the Health League”

program during a Bowling Green Hot Rods baseball game in Kentucky (above). The program works with children on tackling such important issues as poison prevention, proper product disposal and storage, pet safety, fire safety and sustainability. Online, an interactive game allows children to explore various rooms of a house while learning how to keep their homes safe and healthy. Along with the new programs came the introduction of a couple of new characters geared toward children – Professor Grime (Ace Clean’s arch nemesis) and KC the Wonder Dog (Heroes of the Health League Mascot and online guide, shown right).

• Also, ACE is in the process of launching its online “People Against Inhal-ants Network” or PAIN as part of an effort to connect parents, families and friends who have lost loved ones to huffing inhalants.

• Additionally, to support its online communication and outreach, ACE worked with CSPA’s Communications Department to redesign and in-vigorate the foundation’s central hub website consumered.org

Purposeful PartnershipsExpanding its network of supporters and allies, ACE has been working with the United States Military and SADD (Students Against Destructive Decisions) in combating inhalant abuse. Be on the lookout for more details in ACE’s annual report this spring.

1,350 The number of combined attendees for all CSPA sponsored events, webinars, meetings and programs.

®

Professor Grime SM

KC the Wonder Dog

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Programs & Affiliates

Monitoring “Edutainment” Twice during the past year, entertainment giant Disney caught the attention of CAPCO and the CSPA Aerosol Products Divi-sion when two of its popular children’s programs – Phineas and Ferb and Hannah Montana – took aim at aerosol products and their relationship to the ozone layer.

In the case of Phineas and Ferb, CAPCO worked with CSPA’s Communications Department in reaching out to Disney officials and successfully swayed their Television Animation Division to not only acknowledge the misinformation in the episode, but also to make significant revisions that would be incorporated into future airings. In the case of Hannah Montana, which is produced out of a different Disney division, CAPCO took a similar approach to chal-lenging the episode’s misleading information about aerosol products and is currently working towards a reasonable resolution.

Read All About It

To keep supporters and members of the CSPA Aero-sol Products Division apprised of news and happenings CAPCO launched its new quarterly e-newsletter, the “CAPCO Minute.” The CAPCO Minute highlights the non-profit’s activity as it relates to outreach, events, results and industry related news.

To sign up to receive the e-newsletter contact [email protected].

CAPCOReceives Google Grant, Launches New Websiteand pushes back on DisneyCSPA affiliate the Consumer Aerosol Products Council (CAPCO) saw its share of success as it continued to play an active role in the debate pertaining to the facts about aerosol products this past year.

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Programs & Affiliates

Google Says Yes! In an effort to support its online communications and outreach, CAPCO applied for and was accepted into Google’s Non-profits Program. One of the key benefits of participation is the award of a grant totaling upwards to $120K per year to be used for the purchase of Google AdWords – the technology giant’s successful online advertising program which promotes websites based on key word searches. A Google AdWords campaign would serve as an excellent follow up to CAPCO’s successful Facebook advertising campaign.

Receiving the grant is timely, as CAPCO recently revised and re-launched its public website - www.aerosolproducts.org - which seeks to educate consumers, the media and teachers about aero-sol product facts and their popular usage. The new site also encourages more user interaction and a better overall visitor experience. Since the launch visitation and engagement on the site has increased significantly.

Taking It To The Teachers The 2011 National Science Teachers Association (NSTA) conference turned out to be a great outing for CAPCO and the volunteers that gave of their time to travel to San Francisco to talk to educators and others in the education community about aerosol product facts. Many of those among the estimated 1,400 attendees were able to learn more about the technology behind aerosol products, recycling and the relationship they have to the environment.

CAPCO collaborated with the Steel Recycling Institute to develop a handout with information and facts on recycling empty consumer aerosol cans. Ad-ditionally, CAPCO was able to attract some heavy booth traffic due in strong part to the more than 3,000 product samples that were donated by industry and given away to conference attendees.

Year over year comparison. New Site 2011 vs. Old Site 2010

1,137%2011 Avg. Time Spent Per Visit 12min vs. 56sec in 2010

212%2011 Total Page Views 35,869 vs. 11,481 in 2010

138%2011 Pages Per View 3.06 vs. 1.29 in 2010

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Consumer Specialty Products Association

Programs & Affiliates

Automotive Specialty Products AllianceConsisting of approximately 35 members, the Automotive Specialty Products Alliance (ASPA) is a collaborative effort between CSPA, the Automotive Aftermarket Industry Association and the Motor and Equipment Manufacturers Association. ASPA represents companies

that engage in the manufacture, formulation, distribution and sale of automotive chemical and vehicle appear-ance products. In its ninth year, ASPA serves as an advocate on behalf of the companies it represents, working to address common operational and legal issues that challenge members of the industry.

Over the past year, ASPA continued to provide input on California Air Resources Board (CARB) consumer products regulations which limit the amount of volatile organic compound (VOC) emissions products can emit. Without ASPA’s involvement, and left unchecked, these regulations could force changes in the formulation of specific automotive products. ASPA also addressed VOC state regulations that fall within the purview of the East Coast Ozone Transport Commission (OTC), and has been involved with states in the Midwest looking to adopt VOC regulations.

On the federal level, ASPA currently serves as a Small Entity Representative on EPA’s Small Business Regu-latory Enforcement Fairness Act Panel for its Tier 3 rulemaking which could place restrictions on the sulfur content of gasoline and gas fuel additives.

Each year ASPA hosts three annual events (two meetings and a luncheon). Combined, more than 150 partici-pants attended ASPA events last year.

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Programs & Affiliates

Consumer Specialties Insurance Company (Risk Retention Group), formed to meet the insurance needs of manufacturers and distributors of specialty chemical prod-ucts, appointed Ames & Gough Insurance/Risk Management, Inc. as its new Program Manager for the CSI program. As the new Program Manager, Ames & Gough coordinates all risk selection and recruitment, serves as national broker and issues policies for CSI.

Ames & Gough is a specialty insurance broker based in McLean, VA with additional offices in Boston and Philadelphia. The firm has a 20 year history of providing a high level of service to clients that include associations, architects/engineers and law firms. The firm is privately-owned by its senior management team and has experienced staff and leadership that will help CSI’s policyholders with their various insurance needs.

Consumer Specialties Insurance Company is the exclusive partner of the Consumer Specialty Prod-ucts Association. With CSPA membership, policyholders gain access to the support of their peers and are able to participate in Product Care®, CSPA’s popular product stewardship program that offers its members CSI premium discounts.

Compliance Assistance Group

From time to time, a company may need specialized assistance to help ensure they are in compli-ance with the many laws regulating the household and institutional products industry. Because compliance is a top priority for companies, CSPA offers free of charge to its members a list of con-sultants through its Compliance Assistance Group (CAG). Over the past year, four new consultants have joined CAG, bringing our total to fourteen. CAG is an independent, fully owned subsidiary of CSPA.

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Consumer Specialty Products Association

Events

Highlights

One of the many benefits of CSPA membership is access to some of the industry’s best educational and busi-ness-to-business opportunities.

While CSPA meetings also present participants with a variety of forums to cultivate professional contacts, they also are a place where members can hear directly from regulatory authorities and key legislators.

Throughout the year CSPA hosts a variety of events that take place at a destination or via the Web.

Co-sponsored Science Symposium a Success CSPA co-sponsored along with other industry groups a health science symposium in spring. The highly suc-cessful full-day event in Virginia attracted more than 50 scientists and focused on health issues as well as myths and facts surrounding the potential health connection with chemical exposures.

California Legislative DayIn June, CSPA held its 7th Annual California Legislative Day in Sacramento to provide member company repre-sentatives an opportunity to highlight industry’s contributions to the state economy and to voice concerns about pending legislation and rulemaking. The day, sponsored in part by The Clorox Company, The Procter & Gamble Company and The Sherwin-Williams Company, featured advocacy meetings at the Capitol and interaction with key legislative and regulatory leaders. In addition, the CSPA California Political Action Committee (PAC), hosted two events. PAC funders include Arylessence, Inc., Ball Corporation, The Clorox Company, Crown Holdings, Ecolab, Inc., S.C. Johnson & Son, Inc., The Sherwin-Williams Company and W.F. Young, Inc.

The NumbersMore than 950 people participated in industry gatherings, networking events and business-to-business opportunities at CSPA’s Mid-Year and Annual meetings.

Combined, more than 400 people participated in other CSPA sponsored workshops, webinars and programs, including:

• Two webinars on REACH in the EU

• Marketing Biocides in the EU webinar

• GHS Primer: What’s In Store for Consumer Products webinar

• Four-part webinar series on Cleaning Products Fundamentals

• Product Care® Training

• Consumer Product Labeling Workshop

• New Horizons Conference

Events

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Events

Annual Meeting CSPA’s 97th Annual Meeting in Ft. Lauderdale, Florida was hailed as an overwhelming success by members. Attendance exceeded expectations as nearly 500 attendees participat-ed in Annual Meeting programs and events. Accomplished symphony conductor and motivational speaker Borris Brott hit just the right note as General Session keynote speaker.

Mid-Year Meeting In 2011, the Mid-Year Meeting saw its best attendance in recent years as it attracted nearly 450 attendees. The General Session’s dynamic key-note speaker Christopher Gardner of ‘Pursuit of Happyness’ fame was a perfect fit with the meeting’s theme, “Finding Opportunity in Adversity.”

New Horizons Every three years, CSPA’s Cleaning Products Division hosts the New Ho-rizons conference as an opportunity for professionals in the industry to learn about the latest technologies and discuss the challenges of emerg-ing issues. This year’s conference was held in Ponte Vedra, Florida at-tracting more than 60 professionals.

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Consumer Specialty Products Association

In Memorium

It was with great sadness that we reported three current members of the CSPA Board of Directors and a former CSPA Chairman of the Board passed away during the year.

We dedicate this annual report to the memory of:

David G. BeahamPresident and CEO

Faultless Starch/Bon AmiCurrent Board Member, served as CSPA Chairman in 2003

Ron M. DavisVice President Quality, Technical, Regulatory

KIK Custom Products, Inc.Current Board Member

Albert PelliniAdvanced Monobloc

Served as CSPA Chairman in 1990

Dirk StraathofVice President, R&D Global Home Care and P&G Professional

The Procter & Gamble CompanyCurrent Board Member

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Board

Board of DirectorsChairman of the Board—John P. Abplanalp - President and CEO, Precision

First Vice Chair, Richard Theiler, Ph.D. - Senior Vice President, Research & Development, Henkel Consumer Goods, Inc.

Second Vice Chair—Lisa Alexander - Vice President, Counsel to the Americas & Corporate Secretary, Firmenich Incorporated

Treasurer and Immediate Past Chair—Adam Selisker - Vice President of Technology, CRC Industries, Inc.

Assistant Treasurer (non-voting) —William Auriemma - President and CEO, Diversified CPC International, Inc.

President and CEO—Christopher Cathcart - Consumer Specialty Products Association

Members at LargeTerms Expiring 2011Greg Adamson, Ph.D., Global Vice President Regulatory Affairs & Product Safety, Givaudan Fragrances Corporation

Michael L. Freeman, Division President of the Americas, WD-40 Company

Alan Howarth, Vice President – Business Development, Plaze, Inc.

Carleen Kreider, President, Global Market Development Personal Care, Aptar Beauty + Home

Dave Long, Vice President, Regional Regulatory & Medical Affairs - North America, Reckitt Benckiser

Dirk Buengel, Senior Vice President Care Chemicals & Formulators - North America, BASF Corporation

Paul Siracusa, Ph.D., Executive Vice President, Global Research & Development, Church & Dwight Co., Inc.

Terms Expiring 2012Bill Wood, Executive Vice President, Faultless Starch/Bon Ami Company

Michael W. Feldser, President, Metal Food & Household Products, America, Ball Corporation

Frank Jusich, President, Professional Products Group, Central Life Sciences

Frank Pacholec, Ph.D., Vice President, R&D, Stepan Company

Reza Rahaman, Ph.D., Vice-president, Research, Development & Innovation, Specialty Division, The Clorox Company

Bob Scharf, President and CEO, Sergeant’s Pet Care Products, Inc.

Kelly M. Semrau, Senior Vice President of Global Corporate Affairs, Communication & Sustainability, S.C. Johnson & Son Inc.

James A. Westerhaus, Vice President, Government Relations, Ecolab Inc.

Terms Expiring 2013Daniel M. Bagley, Ph.D., DABT, Vice President Global Product Safety, Research and Development Division, Colgate-Palmolive Co.

William (Bill) Smith, President, KIK Custom Products

Joseph Franckowiak, Vice President, Sales & Marketing, Household Chemical Packaging, Berry Plastics Corporation

Tom Mazurek, Senior Vice President, Technical Services, Beauty Avenues

William Metzger, Vice President, Regulatory & Government Affairs, United Industries Corporation

Jeff Pinkham, Ph.D., Vice President, Global Regulatory Affairs, The Scotts Company

Ron E. Shuck, Vice President of Research & Development, Diversified Brands Division, The Sherwin-Williams Company

Stanley R. Weller, Ph.D., Chief Technical Officer, R&D, ZEP, Inc.

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Board

Division Executive Board ChairsAerosol Products Division William A. Frauenheim, Vice President, Operations, Diversified CPC International, Inc.

Air Care DivisionSteve Tanner, President, Arylessence, Inc.

Antimicrobial Products Division Joseph Robinson, Vice President Regulatory Services, Lonza, Inc.

Cleaning Products DivisionEric J. Hansen, Director, Chemical Development, Bissell Home Care Inc.

Industrial & Automotive Specialty Chemicals Division Ed Piszynski, Vice President, Laboratory Services, Chicago Aerosol

Pest Management Products Division Nasser Assaf, Ph.D., Regulatory Manager, Valent BioSciences Corporation

Polishes and Floor Maintenance Division Ted Tysak, Ph.D., Technology Manager, Dow Chemical Company

New LocationCSPA1667 K Street NWSuite 300Washington, D.C., 20006

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Staff

CSPA StaffChristopher Cathcart, President and CEO

Steven D. Bennett, Ph.D., Director, Scientific Affairs

Timothy A. Brown, Regulatory Counsel

D. Douglas Fratz, Vice President, Scientific and Technical Affairs

Keith Fulk, Senior Vice President and Controller

Laura Geib, Director, Meetings & Conventions

Larry Jones, Director, Communications

Brigid D. Klein, Vice President & General Counsel, Corporate Secretary

Philip Klein, Executive Vice President, Legislative and Public Affairs

Beth L. Law, Assistant General Counsel/Vice President, International Affairs

Laura Madden, Director, Government Affairs

Sean Moore, Director, State Affairs (for Eastern United States)

Ryan Nau, Creative Director, Digital Communications

Kristin Power, Director, State Affairs (for Western United States)

Gretchen Schaefer, Vice President, Communications

Holly Schroeder, SPHR, Director, Administrative Services & Human Resources

Damien Spruell, Manager, Support Services

Yvette Stokes, Services Coordinator

Joseph Yost, Senior Director, Strategic Issues Advocacy

CSPA Affiliate Organization StaffAlliance For Consumer Education (ACE)Colleen Creighton, Executive Director

Queshia Bradley, Manager, Education Programs

Product Ingredient Review (PIR)Susan Little, Executive Director

Robbie McLuckie, Administrative Coordinator

Chad Ross, Administrative Assistant

Consumer Aerosol Products Council (CAPCO)Brigid D. Klein, Vice President & General Counsel, Corporate Secretary

Gretchen Schaefer, Vice President, Communications

Consumer Specialties Insurance (CSI)Christopher Cathcart, President and CEO

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Consumer Specialty Products Association

weareCSPA

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